The Toronto-based AI company is discussing combining its business with the fellow large-language-model firm, German newspaper Handelsblatt reported. Sources who spoke to the paper said the companies have Berlin’s support, with the government willing to be a key customer. (Handelsblatt, Reuters)

Talking point: Cohere spokesperson Patrick Allen declined to confirm or deny the reports, saying the company doesn’t “comment on market rumours or speculation.” The discussions come as Canada forges a digital alliance with Europe, and Germany in particular, focused on building AI and technology capacity. Officials from both countries have been encouraging private-sector collaboration, pointing to partnerships such as Cohere’s work with German software giant SAP to sell AI tools to businesses. “As part of the Canada‑Germany Sovereign Technology Alliance and our international expansion efforts, Cohere meets with companies and institutions across Germany and Europe and continually evaluates strategic opportunities that support our global growth,” Allen said.